ICT: Premium / Discount
Telling whether price is "expensive" or "at a discount" relative to its range.
Premium / Discount splits a move in half and tells you whether current price is in the upper (“premium”, expensive) or lower (“discount”, cheap) part of its range.
What it is for
Giving immediate context: in ICT terms one tends to sell in premium and buy in discount, that is, not in the “wrong” half of the range.
How to read it
- Two bands colour the upper (premium) and lower (discount) half of the range.
- A 50% line marks equilibrium.
- Highlighted thresholds at 75% and 25% flag the more extreme zones.
Parameters
- Bands and Levels, show/hide the coloured areas and the lines.
- Premium / discount / equilibrium colour, appearance only.